Luis Maizel’s Monthly Letter: Inflation vs. Unemployment. The Fed’s decision.

The U.S. economy shows signs of growth amid rising unemployment and inflation. The Fed faces pressure to lower interest rates further while managing tariff controversies. Positive trends in home sales and consumer activity contrast with negative sentiments about affordability and confidence. Globally, economic fluctuations persist, impacting trade and investments.

Eurasia Group Top Risks 2026

The year 2026 marks significant geopolitical instability, driven by an unpredictable U.S. political shift and ongoing global conflicts. While some nations, like China and India, bolster their positions, Europe faces heightened challenges. An AI revolution is also underway, complicating governance. The global landscape is turbulent, with lasting implications for future generations.

Unmasking the Dual Standards in Latin American Diplomacy.

Brazil, Chile, Colombia, Uruguay, Mexico, and Spain issued a joint statement condemning unilateral military actions in Venezuela, emphasizing adherence to international law and advocating for dialogue led by Venezuelans. However, the critique highlights the hypocrisy of these nations, which previously failed to challenge Nicolás Maduro’s human rights violations and electoral fraud.

Neither Less Poverty, Nor Less Violence.

The National Institute of Statistics and Informatics (INEGI) reported optimistic economic data for Mexico, claiming job growth and reduced crime. However, real incomes are declining, and most workers are in the informal sector, leading to increased poverty. The government’s statistics misrepresent the harsh realities facing many citizens, particularly regarding violence and economic hardship.

The Complex Nature of Democracy: Insights and Quotes

Democracy is a complex concept that varies in interpretation, providing a framework for governance and legitimacy in society. Mexico’s current Morena government has approached democracy in a literal sense, raising concerns about its procedural integrity and the representation of public preferences. The quality of democracy in Latin America remains critically at stake.

Pause.

Michael Ignatieff explores the necessity of promoting trust and overcoming division in diverse societies in “Everyday Virtues.” He emphasizes the importance of a strong societal framework for coexistence, reflecting on global examples. Additionally, innovative publications by various authors and artists celebrate culture and humanity, enriching our understanding of history and the present.

2025: A Year to Remember.

The end of the year reflects a challenging global climate, with wars and economic instability. Trump’s administration has shifted power dynamics in the U.S., sidelining traditional political structures. The upcoming USMCA renegotiation will be crucial for regional economic stability, as issues of leadership ineptitude underline a deeper crisis in democracy and governance.

My Readings in 2025.

In times of upheaval, many books emerge addressing significant geopolitical and historical themes. Noteworthy titles include Hal Brands’ exploration of Eurasian geopolitics and Claudio Lomnitz’s analysis of Mexico’s dual realities. Robert Kaplan’s pessimistic insights mirror the Weimar Republic, highlighting the fragility of democracy, while Timothy W. Ryback details Hitler’s rise without popular support.

U.S. National Security Strategy.

This official report of the United States Government outlines the priorities of the Trump administration concerning foreign policy, revealing a shift in its geopolitical strategy and values.

Luis Maizel’s Monthly Letter: The United States Is Becoming Increasingly Polarized.

The political climate in the U.S. is increasingly polarized, with extreme leftist and rightist ideologies dominating. Economic indicators show stability, despite rising layoffs and inflation. In Mexico, business sentiment is low amid government unrest. Globally, economic growth varies, with advancements in AI and challenges in countries like China and Japan.

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